2021-22 Federal Budget strategy and key areas of importance for eftpos
The recent 2021-22 Federal Budget strategy outlines the policies and actions the Government is taking to grow Australia’s future as a modern and leading digital economy by 2030, including an expansion of the Government's Digital Identity system.
There are several specific announcements and key investment areas directly relevant to eftpos including the Digital Economy, Digital Identity, review of the Australian payments system, e-invoices, and support for FinTech’s and Digital SME’s.
With the focus firmly on ‘securing Australia’s recovery’, economic indicators report the Australian economy has recovered strongly and is set to return to pre-pandemic levels earlier than expected.
The Federal Budget plan and almost $1.2 billion in investments are aimed to continue to secure the recovery by creating jobs, guaranteeing essential services and building a more resilient and secure Australia.
Budget measures to support those elements of the Digital Economy Strategy directly relevant to eftpos include the following -
1. Accelerating the adoption of e-invoicing across government and businesses
- e-Invoicing is the digital exchange of invoices directly between the accounting systems of a buyer and a supplier that can deliver around $20 of savings every time an e-Invoice replaces a traditional invoice.
2. Strengthen Australia's national system of identity settings
- The Digital Identity system will enable more secure and convenient engagement with government services, and in future, the private sector.
- The Government will progress legislation to enable the rollout of the Trusted Digital Identity Framework which sets out the rules for the national digital identity scheme. The legislation will embed privacy, security and fraud prevention mechanisms to build trust and confidence by those who choose to participate.
3. Review of the Australian payments system
- Ensuring that the regulatory architecture can support, accommodate and respond to advances in payments technology.
- Continued innovation of this key economic infrastructure will be central to lowering transaction costs, improving safety and reducing the cost to doing business.
4. Supporting Digital SMEs
- Over the next decade, the Government will focus on lifting digital capability and adoption of digital technology for SME’s across the economy to support new ways to work and do business, increasing profitability and saving time.
5. Supporting Fintechs
- Building on Australia’s strong financial services foundations, the Australian Government is providing a supportive policy environment that will allow the fintech sector to grow.